Our Investments include over 3,000 residential units in
Georgia, Florida, Louisiana, Mississippi, South Carolina, Texas, Alabama, Kentucky, and Washington
We are opportunistic and disciplined real estate investors. We look for opportunities to create or add value with the objective of balancing cash flow and long-term appreciation to achieve superior overall investment returns.
Our current portfolio consists primarily of multi-family and single-family residential real estate in stable but growing markets. We’ve been most active in secondary and tertiary markets in the Southeastern United States, as these provide the balance of cash flow and long-term appreciation we seek.
We remain flexible and continually evaluate alternative markets. We can easily shift our focus as other markets become relatively more attractive. While our primary focus to date has been on multi-family properties, we have also built a portfolio of single-family rental houses in middle Georgia and have undertaken several land development and home-building projects in Washington and Georgia.
With our multi-family investments, we generally focus on assets that range in size from 50 to 250 units, were built in the 1980s or later and range in price from $3.0 million to $15.0 million. We look to systematically improve each of our properties and communities over time and serve as the “best in class” within our sub-markets by providing superior customer service and value for our residents.
Our annualized return on investment objectives are as follows:
- Cash on cash returns of 4% to 8%
- Debt reduction that provides an effective return on invested capital of 2% to 4%
- Capital appreciation of 5% or more over the term of the investment
- Combined compounded returns over the term of investment of 13% to 15%, or higher
- Target holding periods of five to ten years
Performance against our targets has been outstanding to date, with annual return on investment for properties sold averaging nearly 25% (ranging from 10% to 55%).
We create investment opportunities for accredited and sophisticated investors in multi-family real estate throughout the United States, providing superior returns through operational cash flow and long-term appreciation.
Robert L. Montgomery II
Partner, Middle Georgia
Mary Jo Schafer